The €70,000 tax limit for young farmers will include relief claimed from 1 July 2014.
News of the €70,000 limit came as a surprise to many in the farm community in Budget 2019, but the Minister for Finance Paschal Donohoe insisted that the limit is an EU stipulation which has been in place since 2014.
Parliamentary question
In response to a parliamentary question from Fianna Fáil’s Michael McGrath, the minister said: “I am advised by Revenue that the amount of aid granted under any of the three relevant schemes since 1 July 2014 must be taken into account when claiming any further relief in relation to stamp duty for transfers or conveyances of land executed on or after 1 January 2019, and for the year of assessment 2019 and subsequent years of assessment for stock relief and succession farm partnership relief.”
The three reliefs in question refer to:
Transfers of land to young trained farmers under section 81AA of the Stamp Duties Consolidation Act 1999.Stock relief under section 667B of the Taxes Consolidation Act 1997.Farm succession partnerships under section 667D of the Taxes Consolidation Act 1997.“The inheritance of a family farm does not attract a stamp duty charge and, thus, is not affected by the €70,000 limit,” the minister added.
However, Macra na Feirme raised concerns around the limit and its potential to inhibit young farmers who wished to expand their enterprises considerably.
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The €70,000 tax limit for young farmers will include relief claimed from 1 July 2014.
News of the €70,000 limit came as a surprise to many in the farm community in Budget 2019, but the Minister for Finance Paschal Donohoe insisted that the limit is an EU stipulation which has been in place since 2014.
Parliamentary question
In response to a parliamentary question from Fianna Fáil’s Michael McGrath, the minister said: “I am advised by Revenue that the amount of aid granted under any of the three relevant schemes since 1 July 2014 must be taken into account when claiming any further relief in relation to stamp duty for transfers or conveyances of land executed on or after 1 January 2019, and for the year of assessment 2019 and subsequent years of assessment for stock relief and succession farm partnership relief.”
The three reliefs in question refer to:
Transfers of land to young trained farmers under section 81AA of the Stamp Duties Consolidation Act 1999.Stock relief under section 667B of the Taxes Consolidation Act 1997.Farm succession partnerships under section 667D of the Taxes Consolidation Act 1997.“The inheritance of a family farm does not attract a stamp duty charge and, thus, is not affected by the €70,000 limit,” the minister added.
However, Macra na Feirme raised concerns around the limit and its potential to inhibit young farmers who wished to expand their enterprises considerably.
Read more
Farmer ordered to pay Revenue €359,000
Satellites inspect farms ‘three times a week’
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